Market Update [January 21] – VN-Index rises nearly 9 points thanks to bank stocks

21/01/2019 16:28

Report: Market Update
Source: ASEANSC
ASEANSC’S VIEWPOINTS

On Monday (January 21st), the VN-Index soared nearly 9 points, and closed at its highs of the day thanks to the rise of bank stocks such as VCB, BID, TCB, CTG, VPB, HDB, STB and MBB. Conversely, VNM, MSN, MWG and ROS were the large-cap losers, dragging the index down.

By the closing bell, the VN-Index rose 8.75 points (+0.97%) to close at 911.05. Trading volume was over 165 million shares, worth VND3,300 billion. Breadth was widely positive, with gainers topping losers 161 to 136. Foreign investors net sold VND27 billion on the HSX.

In view of technical analysis, the VN-Index’s chart shows a long green candlestick, and breaks out the resistance level of 906.6, or MA(5), which is quite positive. Therefore, we believe that, in a positive scenario, the VN-Index will test the nearest resistance range of 920 – 930, the next resistance range will be forecast at 940 – 950. In a negative scenario, the nearest support range of VN-Index is forecast at 900 – 910, the next support range is expected at 880 – 890. Based on Kelly formula, the recommended proportion of the portfolio is 30% cash/ 70% stocks.

Please see the attached file for more details.